In a newly released personal account, named Ithaki, the former leader Alexis Tsipras does not hold back as he revisits the chaotic era during Greece's financial crisis.
A Controversial Choice
According to Tsipras's recollections, he chose that maverick economist Yanis Varoufakis to be the treasury head mainly due to the latter's worldwide fame along with Varoufakis's highly compelling abilities when it came to speaker.
“He was, actually, more of a personality rather than an economic expert,” recalled the 51-year-old.
Conflicting Agendas
Tsipras suggests that Varoufakis had a personal motives which included advancing Varoufakis's books and testing out his own economic models on Greece instead of truly advocating its economic stability.
Tsipras explained how the negotiations to stave off insolvency became “not only a way to secure improved terms for the country. They were a test, an historic opportunity to prove the truth of Varoufakis's economic theories.”
High-Stakes Talks
Amid tense discussions, Greece found itself dangerously on the brink of exiting the single currency area.
On the line was both the country's future and those harsh austerity measures required in return for bailout funds from international creditors.
Failed Options
Attempts to secure funds from other sources, including an urgent appeal to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be equivalent to throwing money in the trash-can, the Russian leader reportedly told Tsipras in Moscow.
Referendum and Reversal
In July 2015, the harsh bailout terms were subjected to a popular referendum, an action which plunged the EU into a further crisis of identity.
Although the vote was won decisively by voters who opposed austerity, Tsipras was forced to reject its outcome then negotiate a rescue deal from creditors which turned out to be tougher.
Final Straw
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the man who drew publicity, who appeared on the covers of magazines globally … it seemed he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy involving creating a parallel currency and issuing vouchers to pensioners, the leader knew that it was game over questioning Varoufakis: “Is this for real?”
Lasting Rebuke
Within the book, the author concludes how Varoufakis demonstrated himself “unfit for a deal demanding intricate and sensitive management.”
Tsipras further wrote how his confrontational approach made him more and more alone with colleagues, endangered the country, while assisted hardliners who were advocating a Greek exit from the euro.
The retelling of events has been met with anger and shock in some quarters, while the former minister has so far kept a conspicuous quiet on the matter.
